Repeat Offender Permanently Barred By Registrar Of Companies

The High Court of New Zealand has permanently disqualified 74-year-old Raymond Anthony Andrews from taking part in the management of a company following an application for permanent prohibition by the Registrar of Companies.

The application was made by the Registrar under section 383 of the Companies Act based the risk of further financial harm to the public and upon Mr Andrews’ convictions in relation to the management of companies.

Since being adjudicated bankrupt in 2008, Mr Andrews has been convicted of a number of offences following investigations by the Ministry of Business, Innovation and Employment’s Integrity and Enforcement team and NZ Police including:

· Nineteen offences under the Insolvency Act, relating to being involved in the management or control of companies while an undischarged bankrupt, concealing property from the Official Assignee (OA) and misleading the OA;

· One offence under the Companies Act for breaching a prohibition on taking part in the management of a company; and

· Twenty-nine dishonesty offences, including obtaining by deception, forgery and use of forged documents.

As a result of his most recent conviction in 2019, Andrews was prohibited from managing a company until 15 March 2024, however given the risk of reoffending, and the escalation of his crimes on each occasion, the Registrar of Companies decided to pursue a permanent ban, having successfully objected to Andrews being discharged as a bankrupt in 2013.

Commenting following the ruling, Manager of MBIE’s Integrity and Enforcement Team, Vanessa Cook said:

“New Zealand’s bankruptcy process is designed and intended to allow people to recover from financial disaster and move on with their lives, a process which the vast majority of bankrupts in New Zealand participate honestly in.

“Mr Andrews chose to break the law on numerous occasions after becoming bankrupt, causing significant and extensive financial damage to his victims, and has given no indication that his behaviour is likely to change in the future.

‘Permanent disqualification is only sought in the most serious of cases, however, given the escalating nature of Mr Andrew’s offending, the Registrar judged it a necessary to act in order to protect the public from further harm.”

History of offending:

· Andrews, who was adjudicated bankrupt in April 2008, was found guilty of eleven charges under the Insolvency Act 2006 in 2013, including involvement in the management or control of a business while bankrupt and two charges of concealing property from the Official Assignee, resulting in fifteen months imprisonment.

· In 2017, Andrews was sentenced to twenty-two months’ imprisonment after pleading guilty to charges under the Insolvency Act including a representative charge of including being involved in the management or control of a business while bankrupt and one charge of wilfully misleading the Official Assignee, in relation to his involvement in Max Imports Ltd.

· In 2019, Mr Andrews was convicted of several charges under the Insolvency and Companies Acts as well as forgery charges under the Crimes Act relating to the importation and distribution of motor vehicles from Australia for which he was sentenced to six and half years’ imprisonment.

Note to editor:

· Section 383(1) of the Companies Act provides a mechanism for the Court to order that an individual:

o must not, without the leave of the court, be a director or promoter of, or in any way, whether directly or indirectly, be concerned or take part in the management of, a company permanently or for a period specified in the order.

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